How Can Tiny Norway Afford to Buy So Many Teslas?

Norway is Europe's largest producer of petroleum, yet it has the second highest sales in the world for Tesla's electric cars!

Until recently, tiny Norway (population 5 million) has been the second largest market for Teslas (after the U.S.). Earlier this year, Tesla’s Model S became the best-selling car in the country ever for a one-month period. Not bad for a luxury electric vehicle whose base price in Norway is over $100,000. What’s behind this Tesla boom?

It turns out that Teslas, along with other electric vehicles, are massively subsidized by the Norwegian government. Tesla’s website advertises the generous incentives available to Norwegian buyers, including exemptions from very hefty sales taxes. What does that do to the net price of a Tesla? We asked Martin Skancke, a former high-ranking government official:

MARTIN SKANCKE: The difference between the price of a Tesla and the price of a similar gasoline-driven car is huge in Norway compared to other countries. So in relative terms, the Tesla is a lot cheaper than other cars.

By most measures, Norway is among the greenest countries on Earth. It gets virtually all of its electricity from hydropower; it plans to cut its greenhouse emissions by 30% by 2020; and it has more electric vehicles per capita than any country in the world.

source

Norway has punitive surcharges on "luxury" items.

A Porsche 911 starts at $400,000 USD.

Electric cars are exempt.

a reply to: AlaskanDad

And there's a government doing right by it's citizens.

Subsidizing energy renewal and a non fossil fuel dependent items. Now mind you their small population allows for this, probably would not work in the US or Canada for example.

But good on them anyway. I've been thinking about getting a Tesla as my next vehicle. My only concern is charging stations when I travel.

~Tenth

a reply to: tothetenthpower

I wonder if it could be done at the local (state/province) level though, surely Calgary could have used some of the profits from the oil sands to drive programs like this.

That's if they didn't sell of land rights and slash corporate taxes in a fire sale of course. Oops.

a reply to: boncho

You'd be hard pressed to find a local or even provincial government that could afford say a 10 thousand subsidy on every Tesla sold.

Hell they bitch and moan when the deficit hits 200 million lol

It would be more likely if a group of wealthy individuals got together and offered that as part of a perk in a credit union or something like that.

Ontario, BC and Alberta could theoretically pull that off. Actually Quebec could too, considering all the revenue from HydroQ every year.

As always, the less fortunate provinces would end up bearing the cost though.

~Tenth

a reply to: AlaskanDad

Norway I believe is the country buying up all the US treasuries being dumped by China,Russia and others. It is a secret buyer and they are buying billions worth at a time........Life must be good in Norway.

originally posted by: tothetenthpower
a reply to: AlaskanDad



And there's a government doing right by it's citizens.



Subsidizing energy renewal and a non fossil fuel dependent items. Now mind you their small population allows for this, probably would not work in the US or Canada for example.



But good on them anyway. I've been thinking about getting a Tesla as my next vehicle. My only concern is charging stations when I travel.



~Tenth

If you live in a bit south of Ontario.. toronto/montreal etc... there are more station coming soon. There already a station on the way to Montreal from Toronto.

originally posted by: tothetenthpower
a reply to: boncho



Ontario, BC and Alberta could theoretically pull that off. Actually Quebec could too, considering all the revenue from HydroQ every year.

As always, the less fortunate provinces would end up bearing the cost though.

~Tenth

A Tesla in Quebec is a 'Green' vehicle, because HydroQ doesn't rely on Nuclear Reactors. The same car in Ontario get's most of it's energy from nukes, which are an ecological disaster in the making.

I wouldn't want Ontario to subsidize fission generated electric powered vehicles.

I think best choice right now is to stick with Hybirds until EV are commonplace and cheaper(low repair cost and maintenance).

originally posted by: Psynic



I wouldn't want Ontario to subsidize fission generated electric powered vehicles.

Thank you for an interesting perspective on the power we get out of all wall, it's not equal when it comes to the environment. Having always lived where AC is hydo generated I had not thought much on the fact AC could be such a dirty form energy.

Electric cars and more wind, solar and hydro would be a good start!

Little Norway has a nearly 50% income tax on all incomes, no deductions or exceptions. However, the government uses the money to fund such Teabulican evils as Universal Health Care, Unemployment Insurance, and a huge social safety net. Guess what, it also leads the world in small businesses and entrepreneurs. Got a good idea and want to start a business, government helps all the way. Only bookkeeping is employee pay and profits. The government pays for employee health. If your business fails, so what. Government got unemployment, etc, covered. Since, by nature, Norwegians are not flashy, don't expect huge estates and yachts from the financially successful. If your investment turns a good profit, the government gets half the profit, and you can now invest one and a half times as much money, as your original investment, for the next year. So, a Tesla suit the Norwegian social thinking. Oh, and North Sea Oil revenues are put into a Government fund to help maintain the Norwegian lifestyle.

a reply to: Psynic There is a trade off in time. Better to cease poisoning our lands and air with the remains of fossil fuels. As for the Quebec hydroelectric, look to Russia. They rerouted rivers for farming and power. Now, the largest body of fresh water is rapidly becoming a desert. Same thing can happen in Quebec.the present thermonuclear power production leaves a dangerous waste. Put it in sealed containers, and dump it into a subduction zone. Earth will take care of radioactive waste far better than we can, at present. Then, there is always Fission energy generation, which can consume even highly radioactive elements and create a radiological safe output.

originally posted by: SubTruth
a reply to: AlaskanDad

Norway I believe is the country buying up all the US treasuries being dumped by China,Russia and others. It is a secret buyer and they are buying billions worth at a time........Life must be good in Norway.

It is Most of the Norwegian population live in small towns all along the fjords that go up along the country. Then you have four major towns; Oslo, Trondheim, Bergen and Stavanger. You can get around on public transit quite easily. There are bicycle sharing schemes and really no need for a large car if you live in these places. But if you are running your own business like a mobile hairdresser, beautician, then an electric car is perfect.

Norway does have a lot of taxes,but they also have a very different way of spending those taxes. I couldn't help but also notice they only spent around $6.9 billion on military expenditures, while the US spent around $640 billion. And can't help but think that is why we can't have nice things, like electric cars, or hell even infrastructure like new roads, bridges, dams, power plants,etc. but then I guess we can have nice endless wars. I guess you get what you pay for. Plus many of my fellow American's believe paying for anything other then war is down right commie.

Just my opinion though

a reply to: prisoneronashipoffools Good thought. Remember President Eisenhower's parting words and beware of the Military Industrial Complex.